Russ, August & Kabat lawyers Marc A. Fenster, Alexander C.D. Giza, Adam S. Hoffman, Benjamin T. Wang, Paul A. Kroeger and Michael T. Boardman, on November 23, 2013, won a multi-million dollar patent infringement verdict against Newegg, Inc. for TQP Development, LLC, after a week-long jury trial in the United States District Court for the Eastern District of Texas.
Newegg is the second largest online retailer, insists that it never settles, and touted the case as the strongest it had ever taken to trial. The jury found that Newegg, directly and indirectly, infringed TQP’s patent on encryption methods, and affirmed the validity of TQP’s patent. The jury rejected all of Newegg’s asserted defenses and prior art references, over the testimony of four alleged prior art inventors and Newegg’s expert witnesses, including cryptography expert and purported inventor of public-key cryptography, Dr. Whitfield Diffie. Newegg was represented by lawyers from Weil Gotshal & Manges LLP, Bracewell & Giuliani LLP, The Webb Law Firm, Fish & Richardson, and Yarbrough Wilcox Gunter PLLC.